CP Exploration II, LLC (CPX) acquires 50,000 net acres and 5 Bcfe of proved producing reserves in the Piceance Basin and Rocky Mountain Region, including the TeePee Park Ranch in Colorado.
CP Exploration II, LLC (“CPX”) announced today that, through a wholly-owned subsidiary, it has closed a transaction to acquire certain oil and gas properties in the Piceance Basin and Rocky Mountain region, which consist of more than 50,000 net acres and approximately 5 Bcfe of total proved producing reserves. Key attributes of the properties include:
- TeePee Park Ranch, Colorado – 4,330 surface fee acres (including 1,700 mineral fee acres) in the Piceance Basin with proven production from the Williams Fork, Mancos and Niobrara.
- Average daily production during the first quarter of 2015 of approximately 2,100 Mcf/day.
- Two recent directional wells drilled and completed in the TRP No. 1 and TPR No. 112-16, achieved an initial IP rate of 4,372 Mcfe/day and 2,016 Mcfe/day respectively – two of the best producing wells achieved in Garfield County, Colorado.
“We are excited to own and operate a meaningful position of some of the most productive acreage in the Piceance Basin,” Tom Powell, President and CEO of CPX, stated. “Owning these assets in fee allows us to inventory over 125 Bcfe in reserves and resources while we weather the current volatility of commodity prices. In the meantime, our immediate goal is optimize operational activity while exploring current opportunities to grow our position in this basin through bolt-on acreage offerings or joint venturing with offset operators.”
CPX also acquired in the transaction more than 48,000 net acres prospective for the Mowry and Niobrara sands in the Powder River and Hanna Basins in Wyoming; 6,000 net acres prospective for the Codell sands in DJ Basin in Colorado; and an overriding royalty interest covering more than 150,000 acres in the DJ Basin.
Founded in 2007…CPX has had five liquid sale events and has received a recent $150 million line of equity. CPX is working to grow its holdings through continued prospecting in the Delaware Basin, Piceance Basin, and East Texas.